An outward shift in the Production Possibility Frontier may be due to:
A) Better training of employees
B) An increase in unemployment
C) Productive inefficiency
D) A fall in demand for goods and services in the economy

Question

Quizplus · Accepted Answer

An outward shift in the Production Possibility Frontier (PPF) indicates an increase in the productive capacity of an economy. Better training of employees can improve labor productivity, leading to an expansion of the economy's production possibilities.

An Outward Shift in the Production Possibility Frontier May Be